Obama bets on trade to fire up US growth

WASHINGTON: US president Barack Obama's export advisory group, headed by Boeing chief executive officer James McNerney and Xerox CEO Ursula Burns, released a report recommending the government step up trade promotion and complete work on free-trade agreements.

Less than two months before congressional elections, with the economy a top issue for voters, Obama is turning his attention to trade, highlighting his goal of doubling US exports over five years as a driver of economic growth.

"The more American companies export, the more they produce," Obama said after meeting with the group at the White House. "And the more they produce, the more people they hire and that means more jobs — good jobs that often pay as much as 15% more than average."

Obama formed the Export Council in March, laying out a goal of doubling US exports to about $3.1 trillion by 2015, supporting 2 million additional jobs. As part of his trade agenda, he is also working to revive stalled free-trade talks with South Korea and reach a deal during his November visit to Seoul.

The president didn't reiterate the November deadline Thursday, only saying that his administration is working to resolve outstanding issues and that he is seeking congressional approval 'as soon as possible'. The report recommends the government increase the number of trade missions and step up promotion abroad, increase financing for the purchase of US exports and finish work on pending free-trade accords with South Korea, Colombia and Panama.

"The world wants to buy goods and services made in the United States and our workers are ready to produce them," Obama said. The advisory group didn't address the value of China's currency, which labor unions and some lawmakers argue is a barrier to US exports and job growth. Obama didn't mention China in his remarks either.

Congressional hearings on China's foreign exchange policy continue for a second day in Washington with treasury secretary Timothy F Geithner testifying before the House Ways and Means Committee and the Senate Banking Committee.